Johnson & JohnsonLIM:JNJ 85 FCF Margin % is 6.09% as of Mar. 2026, which is 73% below its 10-year median of 22.17. GuruFocus rates LIM:JNJ with a GF Score™ of 85/100 and a GF Value™ of $171.21. The stock has 7 warning signs investors should review. Among 958 Drug Manufacturers companies, Johnson & Johnson ranks better than 86.33% on this metric.
The historical rank and industry rank for Johnson & Johnson's FCF Margin % or its related term are showing as below:
LIM:JNJ'
s FCF Margin % Range Over the Past 10 Years
Min: 18.07 Med: 22.17 Max: 25.09
Current: 18.07
During the past 13 years, the highest FCF Margin % of Johnson & Johnson was 25.09%. The lowest was 18.07%. And the median was 22.17%.
LIM:JNJ's FCF Margin % is ranked better than 86.33% of 958
companies
in the Drug Manufacturers industry
Industry Median: 2.445
vs LIM:JNJ: 18.07
Johnson & Johnson FCF Margin % Related Terms
Johnson & Johnson FCF Margin % Historical Data
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The historical data trend for Johnson & Johnson's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LIM:JNJ vs ABBV, MRK, AMGN: FCF Margin % Comparison
For the Drug Manufacturers - General subindustry, Johnson & Johnson's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Johnson & Johnson FCF Margin % vs Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Johnson & Johnson's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Johnson & Johnson's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Johnson & Johnson (LIM:JNJ) has a FCF Margin % of 6.09% as of Mar. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Johnson & Johnson and its competitors. This is 73% below median its historical median of 22.17. Over the past decade, Johnson & Johnson's FCF Margin % has ranged from 18.07 to 25.09. According to the industry distribution chart, Johnson & Johnson ranks #131 out of 958 companies in the Drug Manufacturers industry, placing it in the top 13.7%.
Is Johnson & Johnson's FCF Margin % too high?
Johnson & Johnson's current FCF Margin % of 6.09% is 73% below median its 10-year median of 22.17. Over the past 10 years, this metric has ranged from a low of 18.07 to a high of 25.09. The Drug Manufacturers industry median FCF Margin % is 2.45. Johnson & Johnson's value of 6.09% is 149.1% above this industry median. Based on the distribution chart, Johnson & Johnson ranks #131 out of 958 companies in the Drug Manufacturers industry, which is in the top quartile — a strong position relative to peers. Overall, Johnson & Johnson has a GF Score™ of 85/100, reflecting its overall financial health beyond just this single metric.
How does Johnson & Johnson's FCF Margin % compare to ABBV and MRK?
According to the Drug Manufacturers industry distribution chart, Johnson & Johnson ranks #131 out of 958 companies for FCF Margin %. This places Johnson & Johnson in the top 14% of its industry — outperforming the majority of peers. The industry median FCF Margin % is 2.45. Johnson & Johnson's value of 6.09% is 149.1% above this benchmark. Historically, Johnson & Johnson's own FCF Margin % has ranged from 18.07 to 25.09 over the past decade. While the company's 10-year median is 22.17 vs. the industry median of 2.45, Johnson & Johnson has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Drug Manufacturers company?
The median FCF Margin % among Drug Manufacturers companies is 2.45, based on 958 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Johnson & Johnson's current FCF Margin % of 6.09% is 149.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Johnson & Johnson and its competitors. For the Drug Manufacturers industry, the median FCF Margin % is 2.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Johnson & Johnson's current FCF Margin % is 6.09%, which is 73% below median its own 10-year median of 22.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Johnson & Johnson stock overvalued right now?
Johnson & Johnson (LIM:JNJ) has a current FCF Margin % of 6.09%. The stock's GF Value™ is $171.21, compared to a current price of $220.00 — trading 28.5% above its estimated fair value. The current FCF Margin % is 6.09%, which is 73% below median its 10-year median of 22.17 and 149.1% above the Drug Manufacturers industry median of 2.45. Johnson & Johnson's overall GF Score™ is 85/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Johnson & Johnson (LIM:JNJ), the current FCF Margin % is 6.09% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Johnson & Johnson (LIM:JNJ) Overvalued in 2026?
Based on GuruFocus' analysis, Johnson & Johnson stock appears to be overvalued.
The current stock price of $220.00 is trading 28.5% above its estimated GF Value™ of $171.21.
Key valuation signals for LIM:JNJ:
FCF Margin %: 6.09% (73% below median its 10-year median of 22.17)
GF Value™: $171.21 vs. price of $220.00 (28.5% above fair value)
Industry Position: 149.1% above the Drug Manufacturers median (#131 of 958)
No single metric tells the full story. See the LIM:JNJ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Johnson & Johnson is the world's largest and most diverse healthcare firm. It has two divisions: innovative medicine and medtech. These now represent all of the company's sales following the divestment of the consumer business, Kenvue, in 2023. After restructurings in 2023-24, the drug division focuses on three main therapeutic areas: immunology, oncology, and neurology. Geographically, just over half of total revenue is generated in the United States.
85GF Score
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